Ex-Atlantic County Investigator to be Sentenced for Bank Fraud

CAMDEN - A former detective of the Atlantic County Prosecutor's Office will be sentenced in February for her role in a $200,000 mortgage fraud scheme centered in Mays Landing that dates back 15 years.

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Betsy Borges, 38, of Mays Landing, pleaded guilty to one federal count of conspiracy to commit bank fraud, according to the office of Acting New Jersey U.S. Attorney William E. Fitzpatrick.

The original complaint of this past May also named Iraida Fuentes, 35, of Pleasantville, who awaits sentencing for lying to the grand jury assigned to the case.

According to information related to the case, Borges bought 4957 Cardigan Court in Mays Landing, in December 2002, falling behind on mortgage payments but collecting rent from tenants and hiding it from Wachovia and, later, Wells Fargo, verifying several times that she had no way to meet the payments.

Investigators said that Borges arranged for a short sale through Wells Fargo to Fuentes, disclosing neither their familial connection to bank officials, nor a third individual who fronted the money for Fuentes.

Fuentes bought the property at far less than actual value on September 20, 2012. Four years later, on November 22, 20-16, the site was purchased from Fuentes for $25,000 by B&B Properties, a firm partly owned by Borges, authorities said. On February 3 of this year, Borges individually bought the property from the company, for one dollar.

The conspiracy charge places Borges at risk of five years in prison and a $250,000 fine. Her plea deal requires Borges to forfeit $206,450.

Fitzpatrick credited the FBI's Atlantic City Resident Agency, under Special Agent in Charge Timothy Gallagher in Newark, with conducting the investigation.

Assistant U.S. Attorney Jacqueline Carle led the government's case. Borges was represented by Atlantic City attorney Louis M. Barbone.